19th June, 2017 – Florida – The global legal marijuana market size worth USD 63.5 billion by 2024, according to a new research study published by Ameri Research. The factors driving the market growth include the wave of legalization, increasing usage for medical purposes, high tax revenues, andrising investment in R&D to introduce new products.

The legal marijuana market is witnessing high usage for recreational and medical uses. In the U.S, there are 28 states which have approved the use of marijuana for medical purposes, and more number of states are expected to follow suit over the next few years. Growing user base for recreational marijuana in states such as Colorado, California, Alaska, Massachusetts, Washington DC and other states is a key factor boosting the tax revenues. For instance, in 2016 Colorado reported revenues exceeding 1.1 billion from the sale of marijuana products and the tax collected from the sale of these products is diverted into specific community development projects such as theconstruction of schools and infrastructure development, which is anticipated to improve the overall economy of the region.

The legalization wave is moving beyond the U.S. region. In 2017, the Canadian prime ministerhas introduced a bill to legalize marijuana for recreational purposes. The proposed bill mandates the legal age for consumption of cannabis at 18 years, and it provides clarity on the federal and state laws in regulating the cultivation, storage and distribution of cannabis across the country. In 2017, Germany has passed a law to legalize cannabis for medical purposes, and the legalization campaign in other European nations is expected to gain momentum over the next few years. Furthermore, in line with the global experiment on marijuana legalization, Israel which is a key player in themarket has decriminalized the use of cannabis in 2017.

Cannabis is used for more than 20 applications and some of the major therapeutic areas include pain management, arthritis, cancer, multiple sclerosis, and Alzheimer’s disease. For instance, the patients under chemotherapy have experienced positive results in managing pain, nausea and anxiety with the use medical cannabis.

In 2016, pain management was the largest application area and is expected to continue its dominance over the forecast period. By 2024, cancer is expected to outgrow other applications in terms of growth rate, due to the significant increase in number of chemotherapy

Medical use accounted for the majority revenue share in 2016. The revenue generated from recreational use is expected to exceed the medical sales by 2024.

North America was the largest region in 2016, due to the legalization drive, increasing awareness and changes in lifestyle factors.